SENATE OFFICE, Manila, February 6, 2011-To immediately find ways on how to cushion the impact of rising prices of basic commodities and services on consumers, Senator Juan Miguel "Migz" Zubiri who is the principal author of the Renewable Energy Act of 2008 has urged the Aquino government to find ways how to find solution to the continuous price hike in the country, adding that he called for an immediate review of the Oil Deregulation Law following the unabated oil increase in January of this year.

Zubiri lamented that last January 2011, oil prices had gone up three (3) times and is expected to climb up again by 75 centavos to one peso for diesel and 50 to 75 centavos for gasoline following the increasing demands of oil in China where for the last few months the country experienced the steepest climb of oil prices in the world market.

“The oil prices have been progressively increasing and stabilizing or settling down at higher and higher levels. The giant appetites of China, India and the US, and instability in the Middle East all exert upward pressures on prices," Zubiri lamented further noting that the increasing oil prices and the additional impact of VAT translates to higher consumer prices.

"The RVAT has made crude and petroleum products and electricity highly taxed commodities. Every peso profit in by the government is an additional burden shouldered by the consumer especially in times of rising oil prices and transportation costs," Zubiri explained in Senate Bill 2672 seeking the exemption of VAT on oil and electricity.

After the Aquino administration, the oil price hikes hit consumers and led to other transportation-related increases, such as the one-peso jeepney fare hike, 40-peso taxi flagdown rate, toll rates and the impending mass transport system fare hikes in March. (Jason de Asis)

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